Huawei Cloud has experienced rapid growth in South Africa over the past five years and plans to introduce additional cloud solutions to increase its market share and boost revenue, a company executive announced on Thursday.
The rising demand for faster computing from South African businesses and the government has attracted major cloud providers to the region. Huawei became the first international vendor to establish a local ‘hyperscale’ cloud data center in South Africa in 2019.
Jacqueline Shi, president of Huawei Cloud Global Marketing and Sales Service, shared at the company’s cloud summit in Johannesburg that Huawei Cloud has served over 1,000 customers across various sectors, including government, financial services, education, telecoms, media, and e-commerce. “With this kind of strong support from different customers, our cloud business in South Africa has increased more than 16 times over the past five years,” Shi stated.
However, she noted that the overall revenue is still relatively small, prompting the company to launch more cloud solutions to capture a larger portion of the market.
According to market research firm Africa Analysis, South Africa’s cloud market is projected to grow at a compound annual growth rate of approximately 26% from 2023 to 2028, reaching a value of 113 billion rand ($6 billion). The increasing adoption of artificial intelligence is also driving spending among corporate clients.
Huawei Cloud South Africa Chief Executive Steven Chen emphasized that adopting cloud technology is no longer optional, stating, “The question is how far and how to do it quickly.” The Chinese tech giant is competing with major cloud services rivals like Microsoft, Amazon, and Google’s Alphabet for customers in South Africa, operating three data center
Content Courtesy – Reuters
